"Michelin-star restaurateur Sami Wasif claims RBS rate swap has cost him £200,000
London restaurant entrepreneur Sami Wasif, who was the main financial backer of Hakkasan, said the state-owned bank had sold him a 10-year swap in 2004 without asking for his permission and that it has so far cost him £176,706.
Mr Wasif said he only discovered the existence of the “Amortising Base Rate Swap” in February, eight years after he took out the £1.2m loan it was attached to, after noticing discrepancies in his bank account.
“No one would dare think their bank could do anything wrong like that,” said Mr Wasif, who added he was not satisfied with the way his complaint has been handled by RBS.
“I’m a very clever businessman. I know how to run my businesses very well, but with a complex financial product that is not my talent.”
In a letter dated July 4, NatWest, owned by RBS, rejected Mr Wasif’s complaint and added that it did not think he could take his case to the Financial Ombudsman Service as he would not meet its entry criteria
“NatWest regrets that Racecorp [Mr Sami’s investment vehicle] have felt the need to complain. However, NatWest does not accept the complaint,” wrote Geraint Rogers, head of risk solutions.
The letter argued that Mr Wasif had been warned about the costs of the swap and that because the product was sold before the introduction of the Financial Services Authority’s introduction of so-called “Conduct of Business” rules in November 2007, he was not covered by them. "
Michelin-star restaurateur Sami Wasif claims RBS rate swap has cost him £200,000 - Telegraph
You can't make this up really!
In related news:
"RBS pays more than £25m to businessman David Agar over interest rate swaps" -
RBS pays more than £25m to businessman David Agar over interest rate swaps - Telegraph
Not doing due diligence in such a large sized loan, wtf?
Or maybe the headline loan rate looked very cheap so nobody bothered to read fine print? It's like getting a "free" iPhone as long as agreeing to a long term contract
London restaurant entrepreneur Sami Wasif, who was the main financial backer of Hakkasan, said the state-owned bank had sold him a 10-year swap in 2004 without asking for his permission and that it has so far cost him £176,706.
Mr Wasif said he only discovered the existence of the “Amortising Base Rate Swap” in February, eight years after he took out the £1.2m loan it was attached to, after noticing discrepancies in his bank account.
“No one would dare think their bank could do anything wrong like that,” said Mr Wasif, who added he was not satisfied with the way his complaint has been handled by RBS.
“I’m a very clever businessman. I know how to run my businesses very well, but with a complex financial product that is not my talent.”
In a letter dated July 4, NatWest, owned by RBS, rejected Mr Wasif’s complaint and added that it did not think he could take his case to the Financial Ombudsman Service as he would not meet its entry criteria
“NatWest regrets that Racecorp [Mr Sami’s investment vehicle] have felt the need to complain. However, NatWest does not accept the complaint,” wrote Geraint Rogers, head of risk solutions.
The letter argued that Mr Wasif had been warned about the costs of the swap and that because the product was sold before the introduction of the Financial Services Authority’s introduction of so-called “Conduct of Business” rules in November 2007, he was not covered by them. "
Michelin-star restaurateur Sami Wasif claims RBS rate swap has cost him £200,000 - Telegraph
You can't make this up really!
In related news:
"RBS pays more than £25m to businessman David Agar over interest rate swaps" -
RBS pays more than £25m to businessman David Agar over interest rate swaps - Telegraph
Not doing due diligence in such a large sized loan, wtf?
Or maybe the headline loan rate looked very cheap so nobody bothered to read fine print? It's like getting a "free" iPhone as long as agreeing to a long term contract
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